Budget Transfer: Victoria College: Capital Works

Information about the publication of Ministerial Decisions

A formal published “Ministerial Decision” is required as a record of the decision of a Minister (or an Assistant Minister where they have delegated authority) as they exercise their responsibilities and powers.

Ministers are elected by the States Assembly and have legal responsibilities and powers as “corporation sole” under the States of Jersey Law 2005 by virtue of their office and in their areas of responsibility, including entering into agreements, and under any legislation conferring on them powers.

An accurate record of “Ministerial Decisions” is vital to effective governance, including:

demonstrating that good governance, and clear lines of accountability and authority, are in place around decisions-making – including the reasons and basis on which a decision is made, and the action required to implement a decision
providing a record of decisions and actions that will be available for examination by States Members, and Panels and Committees of the States Assembly; the public, organisations, and the media; and as a historical record and point of reference for the conduct of public affairs

Ministers are individually accountable to the States Assembly, including for the actions of the departments and agencies which discharge their responsibilities.

The Freedom of Information Law (Jersey) Law 2011 is used as a guide when determining what information is be published. While there is a presumption toward publication to support of transparency and accountability, detailed information may not be published if, for example, it would constitute a breach of data protection, or disclosure would prejudice commercial interest.

A decision made 17 October 2013:

Decision Reference: MD-ESC-2013-0019
Decision Summary Title:	Budget Transfer from Revenue to Capital to comply with GAAP for minor capital works at Victoria College		Date of Decision Summary:	10th October 2013
Decision Summary Author:	Finance Manager		Decision Summary: Public or Exempt?	Public
Type of Report: Oral or Written?	Written		Person Giving Oral Report:	N/A
Written Report Title:	Budget Transfer from Revenue to Capital to comply with GAAP for minor capital works at Victoria College		Date of Written Report:	10th October 2013
Written Report Author:	Finance Manager		Written Report : Public or Exempt?	Public
Subject: Non-recurring budget transfer in 2013 from revenue to capital for minor capital works at Victoria College.
Decision(s): The Minister for Education, Sport and Culture (ESC) approved a non-recurring budget transfer in 2013 of £130,000 from ESC revenue head of expenditure to ESC minor capital head of expenditure.
Reason(s) for Decision: Under Generally Accepted Accounting Principles (GAAP) expenditure that meets the definition of capital expenditure must be capitalised. This budget transfer is the movement in budget between capital and revenue required to align the budgeting treatment of expenditure with the accounting treatment, in order to comply with GAAP. Article 18(1)(a) of the Public Finances (Jersey) Law 2005 states that all or any part of the amount appropriated by a head of expenditure may, with the approval of the Minister for Treasury and Resources, be transferred from a revenue head of expenditure to a capital head of expenditure, or vice versa, in order to comply with generally accepted accounting principles or an Order made under Article 32. Delegation 1.2 delegates authority for non-contentious transfers between heads of expenditure with no financial limit where the transfer is solely to ensure that financial transactions are accurately reflected in the States’ Accounts in accordance with GAAP or an Order made under Article 32 of the Law.
Resource Implications: The ESC revenue head of expenditure to decrease by £130,000 in 2013 and the ESC minor capital head of expenditure to increase by an identical amount. This decision does not change the total amount of expenditure approved by the States.
Action required: For officers of the Department to request the approval of the Treasurer of the States to the transfer.
Signature:		Position: Deputy Patrick Ryan Minister for Education, Sport and Culture
Date Signed:		Date of Decision:

Budget Transfer: Victoria College: Capital Works - Minor

- 1 -

education, sport and culture

Budget Transfer from Revenue to Capital to comply with GAAP for minor capital works at Victoria College

Purpose of Report

For the Minister for Education, Sport and Culture (ESC) to approve a non-recurring budget transfer in 2013 of £130,000 from ESC revenue head of expenditure to the ESC minor capital head of expenditure for minor capital works at Victoria College. This budget transfer is required in order to comply with Generally Accepted Accounting Principles (GAAP).

Background

Victoria College is responsible for minor works to buildings and has a 10 year strategy which requires some investment in the fabric and maintenance of buildings to provide the best education for the pupils. As part of this, the Governors have requested that the school prioritises a small amount of budget for these works. An example is the refurbishment of the great hall. Victoria College is one of the States’ most iconic buildings and at the heart of the original part of the building and central to the original design is the great hall which also provides the only exam and assembly space on the school site.

Recommendation

The Minister for ESC is recommended to approve a non-recurring budget transfer in 2013 of £130,000 from ESC revenue head of expenditure to ESC minor capital head of expenditure.

Reason for Decision

Under Generally Accepted Accounting Principles (GAAP) expenditure that meets the definition of capital expenditure must be capitalised. This budget transfer is the movement in budget between capital and revenue required to align the budgeting treatment of expenditure with the accounting treatment, in order to comply with GAAP.

Article 18(1)(a) of the Public Finances (Jersey) Law 2005 states that all or any part of the amount appropriated by a head of expenditure may, with the approval of the Minister for Treasury and Resources, be transferred from a revenue head of expenditure to a capital head of expenditure, or vice versa, in order to comply with generally accepted accounting principles or an Order made under Article 32. Delegation 1.2 delegates authority for non-contentious transfers between heads of expenditure with no financial limit where the transfer is solely to ensure that financial transactions are accurately reflected in the States’ Accounts in accordance with GAAP or an Order made under Article 32 of the Law.

Resource Implications

The ESC revenue head of expenditure to decrease by £130,000 in 2013 and the ESC minor capital head of expenditure to increase by an identical amount. This decision does not change the total amount of expenditure approved by the States.

Report author : Finance Manager	Document date : 10th October 2013
Quality Assurance / Review :	File name and path:
	File name and path: